Abstract
The implementation by the People’s Republic of China (PRC) of the measures concerning the development of the sphere and the scale of the international use of its national currency provided the inclusion of the yuan since October 2016 together with the US dollar, euro, pound sterling and Japanese yen into the basket of currencies (Special Drawing Rights). In the article on the basis of the theoretical justification of the necessity of creation of all economic, institutional and organizational conditions of the internationalization of a currency factors that allowed achieving the contemporary level of the international use of the Chinese monetary unit as standard of value, unit of account and reserve currency are analyzed. The reasons contributing to the increase of the international status of the yuan in 2010–2015 are characterized. The determinants impeding the future growth of the demand for the national currency of China from the part of non-residents are discovered.
This is a preview of subscription content, log in via an institution to check access.
Access this chapter
Tax calculation will be finalised at checkout
Purchases are for personal use only
Notes
- 1.
Society for Worldwide Interbank Financial Telecommunications (2016), SWIFT RMB Monthly Tracker, Available at: https://www.swift.com/our-solutions/compliance-and-shared-services/business-intelligence/renminbi/rmb-tracker/document-centre#topic-tabs-menu (accessed 14.08.2016).
- 2.
International Monetary Fund (2017), Data Template on International Reserves and Foreign Currency Liquidity. Available at: http://data.imf.org/?sk=2DFB3380-3603-4D2C-90BE-A04D8BBCE237&ss=1481575224638 (accessed 24.02.2017)
- 3.
Bank for International Settlements (2016), Triennial Central Bank Survey of Foreign Exchange and OTC Derivatives Markets in 2016, Available at: http://www.bis.org/publ/rpfx16.htm (accessed 19.09.2016).
References
Chinn, M., Frankel, J.: Will the Euro Eventually Surpass the Dollar as Leading International Reserve Currency? NBER Working Paper 11510 (2005) . http://www.nber.org/papers/w11510. Accessed 30 Aug 2016
Eichengreen, B.: The Euro as a Reserve Currency (1997). http://eml.berkeley.edu/~eichengr/research/mantokyo.pdf. Accessed 10 Sep 2016. https://doi.org/10.1006/jjie.1998.0411
Genberg, H.: Currency Internationalisation: Analytical and Policy Issues. HKIMR Working Paper 31/2009 (2009). https://ssrn.com/abstract=1628004 or http://dx.doi.org/10.2139/ssrn.1628004. Accessed 02 Sep 2016
Kenen, P.B.: The Role of the Dollar as an International Currency, p. 40. Group of Thirty, New York (1983)
Kouri, P.J.K., Macedo, de, J.B.: Exchange rates and the international adjustment process. Brookings Papers on Economic Activity, pp. 111–157 (1978). https://www.brookings.edu/bpea-articles/exchange-rates-and-the-international-adjustment-process/. Accessed 11 Jan 2017
Krasavina, L.N.: Rossiyskiy rubl; kak mirovaya valuyta: strategicheskiy vyzov innovatsionnnogo razvitiya Rossii [The Russian ruble as the world currency: a strategic challenge]. Dengi i kredit 5, 11–18 (2008)
Kudryashova, I.V.: Rol’ organizatsionnykh i institutionalnykh usloviy v formirovanii sovremennykh mirovykh valyut [The role of organizational and institutional conditions in the modern world currencies formation]. Finansy i kredit 40, 44–50 (2015a)
Kudryashova, I.V.: Transformatisya ekonomicheskikh usloviy formirovaniya sovremennykh mirovykh valyut [The transformation of the economic conditions of the modern world currencies formation]. Finansy i kredit 38, 55–66 (2015b)
Moiseev, S.: Rubl’ kak rezervnaya valyuta [Ruble as reserve currency]. Voprosy ekonomiki 9, 4–21 (2008)
Narkevich, S.S., Trunin, P.V.: Rezervnye valyuty: factory stanovleniya I rol’ v mirovoy ekonomike [Reserve currencies: Factors of evolution and their role in the world economy], p. 136. The Gaidar Institute, Moscow (2012)
Pollard, P.S.: The creation of the Euro and the role of the Dollar in international markets. Fed. Reserv. Bank St. Louis Rev. 83(5), 17–36 (2001). https://files.stlouisfed.org/files/htdocs/publications/review/01/09/0109pp.pdf. Accessed 14 Sep 2016
Remarks by Chairman Alan Greenspan: The Euro as an international currency Before the Euro 50 Group Roundtable, Washington, D.C., Board of Governors of the Federal Reserve System (2001). http://www.federalreserve.gov/boarddocs/speeches/2001/200111302/. Accessed 10 Aug 2016
Tavlas, G.S., Ozeki, Y.: The internationalization of currencies: an appraisal of the Japanese Yen. In: International Monetary Fund, Occasional Paper 90 (1992). Available at: http://web.pdx.edu/~ito/Tavlas_Ozeki.pdf. DOI: http://dx.doi.org/10.5089/9781557751973.084 Accessed 30 Aug 2016
Author information
Authors and Affiliations
Corresponding author
Editor information
Editors and Affiliations
Rights and permissions
Copyright information
© 2019 Springer Nature Switzerland AG
About this paper
Cite this paper
Kudryashova, I.V. (2019). Conditions of the Internationalization of Chinese Yuan: Changes for Five Years. In: Popkova, E. (eds) The Future of the Global Financial System: Downfall or Harmony. ISC 2018. Lecture Notes in Networks and Systems, vol 57. Springer, Cham. https://doi.org/10.1007/978-3-030-00102-5_30
Download citation
DOI: https://doi.org/10.1007/978-3-030-00102-5_30
Published:
Publisher Name: Springer, Cham
Print ISBN: 978-3-030-00101-8
Online ISBN: 978-3-030-00102-5
eBook Packages: Intelligent Technologies and RoboticsIntelligent Technologies and Robotics (R0)